mkr_00 Posted April 29, 2007 Report Share Posted April 29, 2007 I have a quick question. I am buying a car and was wondiring which will help my score the most. Should I put 20,000 down and finance the remainder, or finance the whole amount and pay the 20000 after a month or two? Will the % usage help if I pay off 75% of the loan? Just wondering.Thanks Link to comment Share on other sites More sharing options...
Ahntara Posted April 30, 2007 Report Share Posted April 30, 2007 Utl. does factor in for installment accounts also, just not to the large extent that revolving accounts do. I'm not sure anyone can tell you which option would help your score more. Few people outside of FICO know that much about the algorthyms. But you may find one deal has more financial advantages than the other.Scores aren't everything...*repeats to herself* Link to comment Share on other sites More sharing options...
kevin3344 Posted April 30, 2007 Report Share Posted April 30, 2007 Here's a better way. Instead of dropping it all at once, do it over time. Why? Because FICO looks at age as well. For example, paying $1,000 extra over 20 months is FAR better than $20k in one month, because the account has aged.Keep in mind the FICO formula is hard to fool...so dropping the balance alone (without the age) may not have the intended effect. Link to comment Share on other sites More sharing options...
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